Garmin (GRMN) Estimates Raised at Needham & Company Amid 'Strong' Q1; 'Hold' on Valuation

Needham & Company analyst Richard Valera commented on Garmin Ltd. (NASDAQ: GRMN) following 'strong' Q1 results aided by strong vivofit. However, the fimr is maintained a Hold rating on valuation.

Valera commented, "GRMN reported strong 1Q14 results, with upside in most product categories, aided by a large net deferred revenue contribution. While appreciative of the strong recent performance of Garmin's non PND businesses and the potential upside to estimates from its new vivofit products, with the shares trading at ~16x our 2014 EPS estimates ex-cash (21x straight P/E), and with guidance for roughly flat overall revenue/EPS growth (albeit, likely with an upward bias), we're hard pressed to upgrade the shares at current levels. That said we maintain our Hold rating with a positive bias."

The firm's 2014 estimates increased to $2.71B/$2.70 from $2.67B/$2.78. 2015 increased to $2.78B/$2.84 from $2.73B/$2.78.

For an analyst ratings summary and ratings history on Garmin Ltd. click here. For more ratings news on Garmin Ltd. click here.

Shares of Garmin Ltd. closed at $57.10 yesterday.

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